You are in:
- Archive » 2007 » May
Bank consortium joins forces to share the spoils of M&A market
The three-way bid by RBS, Fortis and Santander for ABN AMRO is the prototype for a new model of mergers and acquisitions deal.
Cash alternative society can only work if the market says ‘yes’
Projections for a prepaid-card economy see 360 million cards issued in Europe by 2010. But this lucrative business still carries risks.
Change happens from the bottom up
The obsession with ‘global’ solutions to global problems is misguided. Answers are to be found at a much simpler level.
Argentina needs soft approach to inflation
In Argentina’s delicate post-crisis economic landscape, inflation targeting isn’t the answer, central bank policy needs to reflect the transitional phase of the Argentine economy, says Martín Redrado.
MAIN NEWS: Consortium acquires US college loans provider in controversial $25bn LBO
The US’s largest lender to college students, Sallie Mae (formally known as SLM Corporation) has agreed to be acquired by JPMorgan, Bank of America and private equity funds JC Flowers and Friedman Fleischer & Lowe for $25bn.
Japan’s Abe hopes to boost system with rule relaxation
In an effort to boost Japan’s financial system and its capital as a financial centre, Shinzo Abe, Japan’s prime minister, has announced plans to relax the rules that separate banking and broking businesses.
More than a little bullish about BA
BA chief Willie Walsh defends his staff and believes the airline’s investment plans will win over disgruntled customers. He talks to Karina Robinson.
Will private equity get you?
|
A trickle of private equity activity in the financial institutions space is threatening to become a flood, with prime assets becoming targets. Geraldine Lambe reports.
Deals of the Year 2007
With a new formula and an enlarged pool of participants, Deals of the Year 2007 has for the first time declared a global winner and five regional winners from the pick of the deals in 85 countries around the world. Both international and local banks have brought an extraordinary wealth of deals to the attention of The Banker’s judges. The next pages are dedicated to the well deserved accolades.
Neal Shear
Morgan Stanley’s co-head of securities sales and trading, Neal Shear, explains why the firm reorganised the structure of its institutional securities, and the effect his role heading the trading division will have on risk taking. Kathryn Tully reports.
CEE surfs a new wave of structured finance products
A surge of new offerings are coming out of central and eastern Europe, with Russia and Kazakhstan showing the new EU countries how it should be done. Michael Marray reports.
West continues to woo Asian investors
Observers see the lack of Asian participation in dollar deals as a temporary blip, due largely to current conditions. However, European bankers are still keen to cultivate investment from Asia. Michael Marray reports.
Merrill emerges triumphant
The debt specialists at Merrill Lynch have been busy blazing new trails in the emerging markets. Edward Russell-Walling reports.
Selling junk to hit gold
Kathleen Quirk, Freeport’s CFO
When a merger fell through last autumn, mining company Freeport-McMoRan was undeterred. It has just bought a rival and issued the world’s biggest junk bond to pay for it. Edward Russell-Walling explains.
Europe makes waves in capital markets…
Expect Europe to be the major arena of interest in the capital markets over the next five to 10 years. Underwriting fees are two to three times higher in the US but growth prospects are far better in Europe.
…as Asia struggles to bounce back
Capital markets to reach European levels if current low investment rates continue. Asian Development Bank’s Outlook 2007 notes that 10 years after the region’s crisis, growth rates are still not back to pre-crisis levels in the countries worst affected: Indonesia, Korea, Malaysia, Philippines and Thailand.
Posties buckle under weighty HSBC tome
Information is essential to the finance business – but sometimes it can weigh heavy. The UK’s Post Office was so worried about the weight of HSBC’s annual report that it limited the number that an individual postman could carry, to avoid back injuries.
Credit (checking) where it’s due
Helping to ease the information flow for banks are companies such as Experian, which share credit data between them – a service that used to be held in rather low esteem by consumer groups and politicians but is increasingly recognised as a respectable activity.
Trend-spotting for FIGs
The Banker’s round table panel debate the hot issues likely to affect the financial institutions arena this year.
Bespoke solutions
Structured products are a result of investors becoming moresophisticated and demanding. Now banks are happy to tailor investments to meet a client’s every wish. Joanne Hart reports.
A vogue for sharia compliance
Sharia-compliant investing and structured products are two of the largest and highest margin growth areas for investment banks. Both are born out of specialist structuring teams, rich with fiscal and regulatory experts, so it is almost inevitable that compliant structured products are fast becoming voguish. Natasha de Terán explores the market.
Pace in property
Natasha de Terán explores the market for structured property products and finds real estate investment trusts becoming popular and the derivatives market gathering steam.
Variety without the volatility
Arnaud Sarfati, Société Générale
Banks are devising structured products for private banking clients that are more diverse than they previously were but still have an element of protection. Michael Marray investigates.
A critical time for bonds
The European Commission is reviewing pre-trade and post-trade transparency in the bond market. Frances Maguire asks if the bond market’s self regulation could prevent mandatory transparency requirements, similar to the equities market.
Downgraded but not out
Portugal is making a comeback after recession, although recent cuts in deficits have not yet been enough to win over rating agencies, writes Peter Wise.
A deeper dialogue and structural reforms
José Sócrates
Portugal’s prime minister, José Sócrates, talks to Brian Caplen and Peter Wise about his priorities for the EU presidency and his determination to ‘build Portugal into a modern country’ fully equipped to compete in the global economy.
Banks cast eyes on new horizons
Financial groups are expanding abroad – not just in international M&A but also into new areas such as project finance and debt issuance. Peter Wise reports.
Winning strategies
Portugal’s banks have weathered the economic downturn by focusing on efficiency. Not only that, but they are now expanding abroad. Peter Wise reports.
Fertile territory for innovative ideas
The world’s wealthy are increasingly seeking to put their money into philanthropic causes, and financial institutions are finding ways of helping them give their money away, writes Silvia Pavoni.
Ahead of the game
The Greek economy is beating expectations, sweeping away fears of a post-Olympics slowdown. Kerin Hope reports on a boom in the shipping industry, the trend in infrastructure improvements and banks’ survival strategies.
Banks jostle for position
Greek bankers are confident that the credit sector will continue to expand as the country catches up with its European partners. Kerin Hope reports on developments in a still underbanked country.
Bilateral benefits
The chairman of National Bank of Greece, Takis Arapoglou, discusses the acquisition of Turkey’s Finansbank and developments closer to home.
Open market
Merger and acquisition activity is heating up in Greece, with surprise takeover bids, religious opposition and major privatisation.
Branching out
With rising demand from the underbanked ‘new’ European states, there are great opportunities for Greek banks intent on expansion.
Exchange builds regional reach
Bourse operator Hellenic Exchanges has cut trading fees on the Athens exchange and is developing links with other exchanges in the region in its bid for a competitive edge. By Kerin Hope.
From minnow to big fish
Nikos Nanopoulos, Eurobank EFG
Nicholas Nanopoulos, chief executive of Eurobank EFG, talks to Stephen Timewell about his bank’s strategy and expansion in ‘New Europe’.
Russian banks ready to join the mainstream
The Russian banking sector is more closely resembling those of developed markets, as it focuses on building up profits from fee income. But banks face the thorny issue of how to obtain capital to sustain their remarkable growth. Brian Caplen reports.
Careful groundwork reaps IPO success
The Bank of Georgia’s oversubscribed London IPO epitomised Georgia’s drive towards catching up with the rest of the world. Ben Aris reports from Tbilisi on how chairman Lado Gurgenidze turned the bank around.
Banks set pace for Pakistan
Pakistan looks set to achieve a goal many thought impossible: economic stability. Jules Stewart reports.
Financial reform needs a progressive mindset
Shamshad Akhtar, governor of the State Bank of Pakistan, talks to Jules Stewart about the influence of the US macroeconomy on Pakistan’s economic landscape and the importance for the developing world in keeping open this window to the West.
Privatised industry will pave the way to wealth
Zahid Hamid, minister for privatisation and investment, talks to Jules Stewart about his ambitious plans for a modern, industrialised Pakistan.
Harsh lessons learned amid economic uncertainty
Thailand seemed to be ushering in a golden age of financial security, until high-level political scandal and terrorist attacks sent its fragile economy crashing back down to earth. Simon Montlake reports.
Peru edges towards
Peru is the new darling of investors and has recently enjoyed a handful of rating upgrades. Its policy of promoting growth while keeping inflation under control is slowly paying off, reports John Rumsey.
Could Banco del Sur spell end of the IDB?
Jason Mitchell reports from Buenos Aires on moves to set up a South American development bank, which are being led by Venezuelan president Hugo Chávez.
Chinese model inspires AfDB
China provides an example of growth-driven modernisation that Africans can aspire to, writes Kevin Godier.
Russians move into Africa
In an oversaturated commodities market, Renaissance Capital is branching out into Africa. Ben Aris reports.
Putting a face to the online banking revolution
In the second of our regular series looking at banking in the future, The Banker ponders what retail front and back offices will look like in 2015. Stephen Timewell explains the changes.
Competition and confusion
Interchange fees are a thorny issue at the best of times, and banks insisting on their necessity if innovation is to happen receive short shrift from consumers. Is there a happy medium? Wendy Atkins reports.
Paul Galant
Citigroup’s managing director explains the benefits of digitising payments. Joshua Weinberger reports.
Integration takes leap of faith
Could the difficulties surrounding integration of the front, middle and back offices be political rather than technical? Alan Duerden reports.
All hail the superchip
The sky is the limit when it comes to the power of the chip – and size is certainly everything. Imagine a device as big as a flea that carries a complete biometric identity management system of your clients. By Chris Skinner.
Cost basis reporting will be costly for all
The US government wants to impose cost basis reporting on the investment industry to make it easier to determine how much capital gains tax investors owe on their securities. Michael Imeson reports.
